A secured credit card is similar to a regular credit card with one major difference. Before any credit is given, a deposit must be put down on the secured credit card. Your deposit sets your credit limit on the card, and it also protects the lender from risk in case you can’t pay back the balance you’ve used up on the card.

Yes! Refresh Financial's Secured Card can help you build payment history and credit history just like other secured credit cards. Use your secured card to make everyday purchases like a regular credit card. Every payment you make towards your card’s balance each month is reported to both credit bureaus, which can help you build a history of positive payments.

You should aim to keep your secured card balance below 30% of your available credit limit. This is because the second largest factor that impacts your credit score is your credit utilization rate: the amount of credit you’ve spent out of the total credit available to you. High credit utilization can hurt your credit score. We will let you know when you hit a credit utilization rate above 30% so you can make a payment towards your balance, ensuring your credit score is not negatively impacted.

Refresh Financial’s Secured Card is specifically designed to help Canadians build a positive payment history and improve their credit scores. Unlike other cards on the market, Refresh reports your balance payments to both credit bureaus. In addition, our Secured Card comes with one of the lowest annual fees on the market, and a lower interest rate than many other secured credit cards available in Canada.

To be approved for a Refresh Financial Secured Card, you must meet the following requirements:

• Be at least the age of majority in your province or territory of residence
• Reside in a province or territory where Refresh offers the secured card
• Be able to provide security funds of at least $200 to Refresh

You can apply for a Refresh Secured Card by completing our online application. Here are the steps to complete the application form:

1. Your custom info: This step involves submitting your personal information (name, phone number, address) and describing your financial goals to help us determine the right product we can offer you
2. Verify your email: Once you’ve submitted your information, you’ll receive an email to verify your application.
3. Choose your credit building pack: We’ll recommend credit building solutions that match your needs.
4. Complete verification and upload documents: To finish your application, complete verification to confirm your identity and banking details and sign your Secured Card credit agreement.

Here are the documents you will need to apply for a Refresh Secured Card:

• Government-issued Photo ID: A government-issued photo ID that has your address on it will work.
• Your banking details: You will to verify your banking details or upload a copy of a void cheque or Pre-Authorized Debit form.
• Proof of your address: We accept government-issued mail (such as a letter from the CRA) or a utility bill addressed to you, dated within 90 days of when you apply for the Secured Card.

If you decide to cancel your secured card, we recommend that you pay your balance owing in full so that your account can be reported to the credit bureaus as closed and paid in full. We will then refund your full security deposit. If you cannot - or choose not to - pay the balance owing on the card we will use part or all of your deposit to cover the balance and return the remainder to you. Provided you are not over your limit after cancellation, we can still report your file as closed and paid to the credit bureaus.